Memorial Day (26-27 May, 2025)

The euro rose to 1.1660 on optimism over potential Ukraine-Russia peace talks, while the yen held steady as the Bank of Japan signaled room for further hikes. Gold slipped on easing geopolitical tensions, though trade concerns and Fed cut expectations capped losses. 

U.S. 10-year Treasury yields rose for a fourth consecutive session to 4.27% on Friday, rebounding from a three-month low. The move followed weak U.S. data, newly announced gold tariffs, and President Trump’s nomination of Stephen Miran to the Fed, which fueled concerns about a politicized central bank. Waning demand at recent bond auctions and rising expectations for rate cuts also influenced markets. Investors now look ahead to next week’s CPI release for policy signals.

The euro held steady near 1.1660 on Friday, supported by hopes of a Russia-Ukraine peace summit and weaker U.S. economic data that fueled Fed rate cut expectations.